Today is proving to be a big one for cryptocurrency mining plays. With Bitcoin (CCC:BTC-USD) smashing through its all-time high recently, there is a vastly reinvigorated interest in holding the coin, as well as altcoins. As such, crypto mining stocks are becoming an appealing long-term bet for investors who want to dodge crypto volatility while still profiting on the industry. Thanks to this new interest, combined with a lower energy requirement for mining Bitcoin, the industry is booming to start the week.
Bitcoin’s slump is long over. In mid-October, the largest crypto in the world saw a full rebound from its summer slump. Values surged to a new all-time high of just under $67,000. A new wave of bullish attitudes toward the digital currency asset class is coming over investors. Many want to make an investment in the industry, or deepen their existing holdings. While buying into Bitcoin now might be too pricey of a venture, crypto miners are offering an alternative take, and they’re surging today.
Investing in crypto mining allows buyers to escape crypto volatility; investors can anchor their investment to Wall Street, rather than a crypto exchange and wallet. This makes them a very appealing play. Additionally, miners can mint any cryptocurrency who uses proof-of-work consensus algorithms, which as of right now includes the likes of very hot crypto plays like Bitcoin, Ethereum (CCC:ETH-USD) and Dogecoin (CCC:DOGE-USD).
Bitcoin’s Resurgence Spelling Success for Crypto Mining Stocks
This week, plays are exploding, and they have Bitcoin to thank. As the most lucrative currency to mine broaches new territory, its hash rates are also particularly low. Thus, miners can maximize their profits by cutting down on the energy required to mint each new Bitcoin.
With these variables of price and cost-to-mine all working together to benefit miners, crypto mining stocks are seeing quite the surge to start the week. Marathon Digital (NASDAQ:MARA) is seeing the greatest upward swing — to the tune of 18%. Of course, the company recently released its production update, which bore lots of great news for investors, so it is already an appealing buy.
However, MARA isn’t the only crypto mining stock that’s reaping the benefits. Riot Blockchain (NASDAQ:RIOT) is seeing a gain of 15.5% on a busy Monday. Sphere 3D (NASDAQ:ANY) and Bit Digital (NASDAQ:BTBT) are up 6.5% and 8%, respectively. Hut 8 (NASDAQ:HUT) is up nearly 12%.
On the date of publication, Brenden Rearick did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.